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tv   Rob Black and Your Money  KRON  November 4, 2013 11:00am-11:31am PST

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lowell ha=welcome to rob black and
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your money. >> wal-mart's kicking off their black friday sales and kicked them off last friday. we have a long way to go to black friday. >> screwed to make black says that don't buy holiday gifts for anyone but if you do have to shop consider shopping right now. wal-mart
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has amazing deals anywhere between 20 to 50% off for the tvs and tablets. this is one of those stories where we have a shortened holiday season. we will hear about this for the next 60 days as we approach christmas. thinks giving comes up very late in november which police short-time to get to christmas. >> what have been honest is of the website of the affordable care act and now you hear the premiums are going up. >> yes. for the average independent contractor mail premiums have gone up about 40 +%. who benefits from obama care is old people who are like 50 or 60 independent contractors. that's where to reach for healthy white male is going from 250 to $400. a 40%
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increase and premiums. loved the health care but hate the affect on the economy elsewhere. >>mark: watching kellogg. the big cuts. what's going on there. >> kellogg is pop tarts, plain gold--sprinkled, lego. --pringles, leggo my eggo >> they are taking effect some cost efficiency. they are calling that project k. i like kellogg for no longtime patient investor. >>mark: tesla. we've seen their sales and really starting to skyrocket the
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busing's only if you live in a very rich as of code. >> is the most registered new vehicle and the eighth top neighborhoods. the vehicles are stunning. they sell so few vehicles nationwide. they're earning season of reports coming this week. it's time to see what investors think of how few cars they sell compared to how much demand they have in the future. it will be fun to watch their tesla reports street thinks mr. market-entry into >> coming up drive me an e- mail. we will see after the break.
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>>rob: welcome. but bringing in experts. joining us now
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jeff lerman. but jeff you are an attorney. give us a little background. >> i do transactions and litigations so whether a deal is coming together are falling apart that's what i usually get contacted by the client. we try to help them stay out of trouble. >>rob black: we are going to talk about warning signs that may be occurring that ultimately lead to you and your partner in a lawsuit. what sort of partnership are we talking about here? >> well whether it's a real estate or a business partnership it applies. i think partnerships. we talk about partnerships it can be a corp, a limited partnership or n l l c. i think partnerships are a great way to grow your business but like any relationship partners can disagree so it's important to understand what the warning signs are if you're headed for a serious dispute with your partner so you can avoid the disputed stay out of court. >>rob black: i think all
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small businesses and relationships ultimately and and most people don't have a plan for it. the beatles came to an end and they did not have a plan on how to do it resolve their disputes. >> right. one of the first warning signs is if there's no written agreement by an experienced lawyer. i can tell you how many times i have a client, and who got into a dispute and they will say there is no agreement. they did the deal on a handshake an oral agreement or an agreement that they themselves put together without a lawyer or maybe they used a lawyer who did not have a lot of experience in that area so if that is your situation. if you don't have an agreement to you felt really confident about, then that you should run and not to walk to an experienced a business or real estate lawyer who can help you get to your deal in writing. >>rob black: this is a good example because i had a
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business back on the east coast and decided to get out of it and their memories of what shares were mina where there's were completely different. it was finally resolved after a business of turning. now no agreed business plan. what does that to me not >> it means everybody should have a shared a vision for the big points in any venture. any joint venture. let's say with a real estate. those points can be are we buying to hold long term or is this going to be a quick flip. are we buying for all cash are we going to get financing. if we do by cash are we going to get a loan at some point and if so how big is alone going to be. these are the things you need to talk about up front before you go into the deal because once you're in the thick of it if it becomes a lot more complicated. >>rob black: and the other is getting spouses evolves. you may think it short term and she thinks it's long- term.
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>> you bring up a great point which is in every joint venture there is the hidden a partner which is the spouse of the main parties to the agreements. you have to talk to your spouse at the front end of the deal to make sure you are of the same line because if you find out later that you have differences that will be a problem as well. >>rob black: going over the biggest warning signs that you're heading into a lawsuit with your business partner >> every business relationship needs something to keep the partners together. i call with glue. if you're in a partnership you should be asking yourself right now why does my partner need to me because i guarantee you your partner is asking that question all the time for it if you can't come up with a compelling answer to that question and you better ask yourself what more could i be doing and what more can i bring to the relationship to be a good partner. because if you don't a brink enough
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to the table, then that your partner will at some point wonder why they're doing business with you. why they are sharing their profits with you. you have to really focus on that inside. what is the glue that holds us together. >>rob black: next up is sloppy books and records. this is obviously one that both parties need access to the account for it and probably each other's taxes on some levels. what can you tell us to extend this conversation? >> this is an area that can actually make any problem so much worse. there is the dispute that causes you to pull out the books or records to see what they look like about the numbers. whether it's income expenses, contributions would never prurient and then if you look at those books and records and they are a mess and they don't answer the problem, then that they can just make the matter so much worse because not only does it not give you an answer but to get
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into this other dispute about what should have happened with the money. what should be going on with a profit losses. whenever it happens to be. yes to get those cleaned up and in shape and maintain them on a regular basis. try to reconstruct after the fact is trouble. >> lack of money put a lot of stress on the relationship. tell me a little bit more. >> for example we had won a multimillion-dollar dispute with the partners didn't have a great books and records and the dispute was the partnership needed more money at one of the partners was putting up the shortfall and they got into a huge disputes later about was that contribution a loan to the partnership or was it a capital contribution because those had radically different impacts on how the profits were to be distributed. so it's those kinds of details that to really need to be addressed again not only in the
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written agreement but also in the books and records that you maintain throughout the life of that ongoing business. >>rob: you can find him at www got real an investor bob got comp. and jeff asked lerman the lot got comp. --jeff lerman. --
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we will be right back.
11:17 am >>rob: you can always drop 8 e-mail. here's one.
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>> when you have the disability insurance especially a business owner you really only need about 60 to 70 percent of here and come annual pay it with after-tax dollars. you don't want to write off because when you receive the disability and come he wanted for its tax-free. a lot of times when you're buying disability insurance is taxable because you're doing it with a pretax plan. taxable when you receive it you need about 85 to 90 percent of your income to replace it if you become disabled. if you buy the after-tax or the version that's tax-free only need about 65 to 70 percent of here and come to you have to weigh the premium differences what to last between the two options and i would take the smaller premium. >>rob: she said she was the breadwinner so her husband might have to go
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back to work and that may take a little extra time as well so all things considered. here's another e-mail. >> are there any good annuities that don't have high fees and commissions. that comes to us from richard. >>rob black: annuities kind of have a a bad rap for the financial community. what do we need to know for it >> annuities are a tough spot. most of them probably 99 percent are horrible and you shouldn't touch them. there're a couple of no-load variables that could be a decent bond alternatives for people who want income starting right now but at the same time there's no insurance company that will ensure a balanced portfolio for much less around 1 percent and they will ensure an come for life. they're kind of taking the variable annuity idea and cutting fees about in half. there's really not a lot of good reason to buy a variable
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annuity but people who want principal protection and future income potential, there some decent index annuities that are shorter term that have a really good future income potential and tend to perform a little bit better. but there's really only about two index annuities that i've seen in the state of california that i've ever liked and would never recommend. i would get the advice for somebody who doesn't sell everything based on commission. >>rob: i can't afford my variable life insurance policy any more. what are my options? >> this is a common program. -problem. the thing you want to do is get the right amount place. did a nice 20 or 300 level term policy in place before you get rid of the variable entrance contract. the gavin large cash value that's inside of it and you don't want to keep the insurance any more yet to find out is it going to be a taxable event if i get rid
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of it. if so you can roll those proceeds into a no- load annuities. just take it every have tested possibly. >>rob black: and zachary asks you what were profits as building 4015 k as well as a raw 4015 k. which i choose. >> there's a lot of different circumstances younger workers are less than a 20% marginal. their state and federal bracket combined into being 20 percent. of those people should look for a ross 4 01 k. --roth. if you're an older worker and you're behind on the savings and you just haven't saved enough go for the pre- tax option. a lot of people
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say the money. a maxxam there 401k as saving after- tax dollars. a lot of times those are the people who aren't high tax brackets. >>rob black: a ross 401k there's no income limits. the issue is are you ahead of the game are behind the game. what are you headed very high tax bracket and is sure there's really no right answer. if you're older and behind the game ago for the pre-tax. if you're older and ahead of the game and most of your assets are in pretax accountable for the ross
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version sold by the time you retire you police have some tax free dollars in addition.
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welcome back. let's get to your e-mail spree and the number one assess what would be a good price for twitter. >> morningstar camera and said $26 a share it would be fairly valued. michael at 40. this thursday pay attention. i think it's a long term a great game but you want to accumulated after the a lot culprit, how much should i have winds are to buy into digital stocks. then i would say at least 100,000. maybe just 15000 are 10,000. >> what are the
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should i shorts tesla >> i would say yes. it's way overvalued. you buy tesla for a long-term patient investment not a short-term and instant gratification on doing a charitable event were you donate an old self on at the airport hotel in san jose. you can sign up at rob at rob black dot com. take care. good day.
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